ARK Invest Europe Shuts First Rize ETFs

ARK Invest Europe Shuts First Rize ETFs

ARK, which acquired Rize in September, said the move is in the best interests of investors.

Reviewed by: Staff
Edited by: Mark Nacinovich

ARK Invest Europe will close four Rize ETFs, in a first sign of its intent on the continent following its acquisition by noted investor Cathie Wood’s ARK Invest in September.

In a shareholder notice, the group said the closure of the four thematic ETFs was in the “best interests of the investors."

The four exchange-traded funds are:

  • $1.1 million Rize Emerging Market Internet and Ecommerce UCITS ETF (EMRJ)
  • $7.5 million Rize Education Tech and Digital Learning UCITS ETF (LERN)
  • $13.9 million Rize Medical Cannabis and Life Sciences UCITS ETF (FLWR)
  • $2.5 million Rize Pet Care UCITS ETF (PETZ)

LERN was launched in August 2020, and the remaining three ETFs were launched in February and March last year.

It said the group is using its ability to close the ETF after its first anniversary if its assets remained below $50 million for 30 consecutive days.

“The directors have determined to redeem all the shares and close the fund,” it said.

It added all four ETFs have a final trading date of Dec. 12 on the London Stock Exchange and investors will be required to redeem all of their shares by Dec. 20. The shares will be distributed eight days later.

The ETFs are the first Rize ETF products to be closed following the acquisition by ARK.

Seven ARK ETFs Left in Europe

It leaves the European arm of ARK Invest with seven ETFs with roughly $427 million in assets under management.

The group’s sustainable ETFs haven't been closed and it had previously stated it would be looking to develop its ESG, or environmental, social and governance, ETF range in Europe following the deal.

It is also expected to bring the flagship $5.9 billion ARK Innovation ETF (ARKK) to Europe early next year.

Theo Andrew joined ETF Stream as a senior reporter in September 2021. He has over four years of investment writing experience spanning pensions and retail investments, most recently at Citywire, where he was a senior reporter covering environmental, social and governance investing.